Penalties may be waived in delinquency or deficiency cases if the taxpayer has a reasonable cause that is listed in state statute (see Tenn. Code Ann Section 67-1-803(c) and (d)). Waivers can also be issued in delinquency cases if the taxpayer has a good two-year filing record with the Department, and no willful disregard of the law or gross negligence is involved. The Attorney General must approve a waiver of penalty of $100,000 or more.
Log into the Tennessee Taxpayer Access Point (TNTAP), access your account, and select Petition for Penalty Waiver. This is available for the following tax types:
|Sales and use tax||Liquor-by-the-drink tax|
|Business tax||Tobacco taxes|
|Franchise & excise taxes||Alcoholic beverages taxes|
|Hall income tax||Beer taxes|
|Consumer use tax||Gross receipts taxes (bottlers, utilities, vending, mixing bar)|
|Professional privilege tax||Severance taxes|